AutoCanada posts most profitable quarter in history

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AutoCanada had its most profitable quarter in history with a 61-per cent increase in earnings.

Financial highlights included a 32-per cent jump in gross profit to $64.8 million; net earnings up 65 per cent to $14.8 million; and same store revenue up by 26.2 per cent.

AutoCanada CEO Pat Priestner attributed the second quarter growth to gross profit increases in all four business lines – new vehicles, used vehicles, finance and insurance and with fixed ops.

“Recent acquisitions have contributed to the increases during the quarter, however much of the growth can be attributed to same store revenue and gross profit increases of 26.2 per cent and 25.8 per cent respectively during the quarter,” he said.
 
In his conference call with reporters and investors, Priestner also confirmed the recently announced acquisition of Eastern Chrysler located in Winnipeg, Manitoba.

“We are strong supporters of Chrysler Canada and look to build upon our excellent relationship with this very important partner, as well, in the case of Eastern Chrysler, of adding to our current dealership footprint of St. James Volkswagen and St. James Audi in the great City of Winnipeg, Manitoba.”

The dealer group retailed 5,487 new vehicles, 1,923 new fleet vehicles and 2,652 used vehicles in the quarter through its 27 rooftops.